{"id":55465,"date":"2021-01-26T21:36:21","date_gmt":"2021-01-27T03:36:21","guid":{"rendered":"https:\/\/www.hrblock.com\/tax-center\/?p=55465"},"modified":"2023-04-03T16:42:41","modified_gmt":"2023-04-03T21:42:41","slug":"door-dash-taxes","status":"publish","type":"post","link":"https:\/\/www.hrblock.com\/tax-center\/small-business\/self-employed\/door-dash-taxes\/","title":{"rendered":"DoorDash taxes"},"content":{"rendered":"\n

Whether you\u2019re new to DoorDash taxes or have a few tax filings under your belt, H&R Block is here to help Dashers navigate tax time.<\/p>\n\n\n\n

First thing \u2013 let\u2019s clarify. There isn\u2019t really a category of taxes for DoorDash, but we know that a lot of Dashers refer to their tax responsibilities as \u201cDoorDash taxes,\u201d so we\u2019ve used that term now and again.<\/p>\n\n\n

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One of the most common questions Dashers have is, \u201cDoes DoorDash take taxes out of my paycheck?\u201d The answer is no. As an independent contractor, the responsibility to pay your taxes falls on your shoulders. Don\u2019t let that stress you out\u2014 over the years H&R Block has helped hundreds of thousands of gig workers like you.  <\/p>\n\n\n\n

We\u2019re here to help you get through this tax season and answer key questions about tax forms and deductions you can take to lower your tax bill. Plus, we\u2019ll provide resources so you can learn about the other tax tasks you\u2019ll have throughout the year.<\/p>\n\n\n\n

DoorDash & 1099s<\/h2>\n\n\n\n

Each year, tax season kicks off with tax forms that show all the important information from the previous year. You\u2019ll receive a 1099-NEC if you\u2019ve earned at least $600 through dashing in the previous year.  <\/p>\n\n\n\n

Form 1099-NEC<\/strong><\/a> reports income you received directly from DoorDash (ex. incentive payments) and driver referral payments. These items can be reported on Schedule C.<\/p>\n\n\n\n

Note:<\/strong> Form 1099-NEC is new. Last year, this information was reported on Form 1099-MISC, box 7.<\/p>\n\n\n\n

Wondering if you\u2019ll also get a W-2 tax form from DoorDash?<\/strong> Since Dashers are independent contractors, you will only receive Form 1099, not a W-2. <\/p>\n\n\n\n

Working with DoorDash: Tax deductions to know about<\/h2>\n\n\n\n

As an independent contractor, you\u2019re eligible for special deductions. If you use a personal car for dashing, you can choose one of two methods to claim a deduction on your taxes.<\/p>\n\n\n\n